Apple Will Pay Royalties to Nokia, Patent Dispute Ends

Nokia said today that it’s competitor Apple had agreed to pay royalties for using Nokia technology on apple’s devices. Nokia said in a statement, “The financial structure of the agreement consists of a one-time payment payable by Apple and on-going royalties to be paid by Apple to Nokia for the term of the agreement”.

The two companies have been engaged in patent disputes worldwide since October 2009, when Nokia filed a complaint against Apple with the U.S. District Court in Delaware, alleging that Apple’s iPhone infringed on Nokia telecommunication and wireless patents. The suit alleged Apple was infringing on ten Nokia patents covering wireless data, speech coding, security and encryption.

Nokia chief executive Stephen Elop said in the statement,” We are very pleased to have Apple join the growing number of Nokia licensees… This settlement demonstrates Nokia’s industry leading patent portfolio”.

This is really a great victory for this leading mobile phone maker. Both companies agrees on withdrawing all complaints they filed with the US International Trade Commission.

Apple spokesman Alan Hely said the company is happy because  the dispute with Nokia is over, and that they can now get back to focusing on their respective businesses.

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